All posts tagged Business Week

There’s nothing, but nothing, more prized in the economic commentary game than spotting changing times first.

Being first to suggest that boom will soon bust, that old bull will soon be young bear, and then, oh bliss, being proved right; this is what gets you the keys to the kingdom. From such triumphs of foresight can flow book deals, TV slots, agreeable visiting professorships and cases of champagne sent down from the editor’s office. Or so they tell me.

With so much on the line, it’s not surprising that some scribblers chance their arms too rashly, too soon or just plain foolishly. The most infamous example is probably Business Week’s front cover of August 1979. The ‘Death of Equities’ was upon us, it screamed from newsstands everywhere. But au contraire. What was really upon us turned out to be the most astonishing bull run in stock-market history. Nice try fellas. Sorry for bringing it up again.

There’ve been others too, of course. The Economist’s front cover of February 2007 told the British they’d ‘Never Had It So Good’. And then credit crunched. Sadly it transpired they were having it so good with other people’s money. Two years later the State has debts of a magnitude it used to take global war to achieve. Of all the developed economies, none is having it so bad.

Therefore, when you see a cover such as Newsweek’s recent effort, yelling “America’s Back” in no uncertain terms, it’s quite tempting to stock up on bonds, cash, tinned goods and ammunition.